Minimum wage in Lithuania - Frequently Asked Questions

Is there a separate legislation relating to minimum wages in Lithuania?

According to the Labour Code of Lithuania (Article 187), the Government, upon the recommendation of the Tripartite Council determines the minimum hourly pay and minimum monthly wage in Lithuania. The Resolution No 1543 of the Government of the Republic of Lithuania of 19 December 2012 “On the Increase in the Minimum Wage” sets the current minimum wage in the country.

Do one or more minimum wages exist that is/are determined by law?

According to the Labour Code of Lithuania, the Government, upon the recommendation of the Tripartite Council, may establish different minimum rates of the hourly pay and the minimum monthly wage for different branches of economy, regions or categories of employees. Moreover, collective agreements may establish higher rates of the minimum wage.

At what level are minimum wages determined?

Though the legislation provides that specific wage rates may be set for different regions, sectors and categories of employees, only uniform statutory minimum wage or national minimum wage is currently valid all over the country.

On what basis is minimum wage calculated?

According to the Labour Code of the Republic of Lithuania, the Government determines the minimum hourly pay as well as minimum monthly wage.

In case of weekly/monthly minimum age, are they based on any fixed number of hours?

According to the Labour Code of the Republic of Lithuania (Article 144), the working time may not exceed 40 hours per week, therefore the monthly wage is calculated on the basis of a week of 40 working hours. A daily period of work must not exceed 8 working hours (exceptions may be established by laws, Government resolutions and collective agreements). According to the Article 196, the pay for incomplete working time (an incomplete working day or week) shall be proportionate to the time spent at work or to the work carried out, therefore the actual pay might be smaller than official minimum monthly wage if the a person's official working time is smaller than 40 hours per week.

Are governmental bodies, employer and/or trade union representatives involved in minimum wages setting?

According to the Labour Code of Lithuania (Article 187), the Government, upon the recommendation of the Tripartite Council determines the minimum hourly pay and minimum monthly wage in Lithuania. The Tripartite Council consists of the Government, trade unions and employer organization.

How are upratings (adjustments) of minimum wage/s decided upon?

According to the Labour Code of Lithuania (Article 187), the Government, upon the recommendation of the Tripartite Council determines the minimum hourly pay and minimum monthly wage in Lithuania. The Tripartite Council consists of the Government, trade unions and employer organization.

Which are the components of minimum wage in Lithuania?

There is only fixed component of minimum wage.

How frequently is the fixed component of minimum wage updated?

Fixed component of minimum wage is updated each year or annually.

What is/are the yardstick/s on which minimum wage upratings are based?

The minimum wage is set based on six criteria set forth in ILO Recommendation No. 135: 1. The needs of workers and their families 2. the general level of wages in the country 3. the cost of living and changes therein 4. social security benefits 5. the relative living standards of other social groups 6. economic factors, including the requirements of economic development, levels of productivity and the level of employment. If the Government does not agree on the minimum wage (for the following year) by the 1st of June, then the Parliament is responsible for setting the minimum wage in its spring session and the requirements for the minimum wage include the average level of previous year inflation as well as other factors that have influence on the changes of the average wage in private and public sectors.

What is National Poverty line?

Click here to know the national poverty line in context with Minimum Wage, living wages and actual wages. Select the currency (Euro or national currency) to know national poverty line.

How is minimum wages compliance regulated?

The Labour Code of the Republic of Lithuania states (Article 32 and 33) that the control over compliance shall be exercised and prevention of violations shall be affected according to the competence established by laws, by the State Labour Inspectorate and other institutions. Non-state control over compliance with labour laws and collective agreements shall be exercised by trade unions operating in accordance with laws and other regulatory acts.

Which legal sanctions can be applied in compliance is lacking?

Labour rights shall be protected by the court or any other dispute resolution body in accordance with the procedure established by laws and in one of the following ways: 1) by recognising the said rights; 2) by restoring the situation that existed before the violation of the right and preventing performance of the acts which violate the right; 3) by obligating to perform the duty; 4) by terminating or modifying the legal relation; 5) by making the person guilty of violation of labour rights repair the property or moral damage inflicted or, in the cases prescribed by law, also exacting from the above person penalty or default payment.

Are sanctions often being applied?

There is no such statistics available.

Are employer and/or trade union representatives involved in compliance procedures?

Trade union is responsible for non-state control over compliance with labour laws and collective agreements.

To whom/Where can individuals complain, if they think they are earning less than minimum wage?

In case of non compliance individuals can complain to Labour Inspectors and Trade Unions.

Which month of the year is minimum wage rate revised in Lithuania?

There is no specific period defined.